TS Today - Creating a Vision for the Future of Vacation Ownership Issue #159 May/Jun 2018 | Page 25

Page 25
May/Jun, 2018
Resales:
Back where they began
By Jeff Fudge
The timeshare resale industry seems
to have come full circle, but it took over
30 years to do so. In the beginning, the
developers had no competition. During
the next two decades, legitimate resell-
ers came into being.
Then came the scams, which gave
the industry a bad name. The scam-
mers held a large amount of inventory
through dubious methods, but much of
the inventory never sold. Eventually it
came onto the market at rock-bottom
prices. This continued for several years,
creating a buyers’ market.
Through various efforts, many
of these scams eventually went out of
business, leaving the legitimate entities
to dilute the large supply of inventory.
Therefore, the outlook for a more stable
market has a good future, but it will take
a considerable time to be recognized.
Today the scenario is basically supply
and demand.
Owners’ use sets value
The relative value in quality time-
share lies within its use by the owner
and will eventually appear in the resale
value. You cannot resell your hotel or
resort unit. If you put a timeshare unit
up against a comparable resort or hotel
unit, the timeshare always will win in
value over the length of ownership.
“Comparable” refers to the same
location, unit amenities, size of the unit,
and physical quality of the timeshare,
and cost versus the hotel or resort.
The majority of owners are pleased
with their purchase and will therefore
purchase more inventory.
Once they are no longer using it,
due to age or lifestyle changes, they
may transfer it to their children.
Buyers span a wide range of age,
professions, and liquid cash holdings,
and include both singles and families.
On average, buyers are in their
forties, have a family, are in an upper-
TimeSharing Today
income bracket, and are working or re-
tired professionals.
Repeat buyers
Many of our buyers at Resort
Property Marketing International have
bought from us before. Many have
made multiple purchases, while others
have referred additional buyers to us.
Often, these referrals are buyers who
already own timeshares, although some
are fi rst-time purchasers.
RPMI has been in business since
1991, so we have acquired a lot of buy-
ers and sellers who come to us when
they are ready, realizing we are ex-
tremely specialized in our fi eld.
Geographically, our buyers and sell-
ers are located within the United States,
but due to Wyndham’s enormous growth
of properties, we now see an increase in
buyers and sellers internationally.
Benefi ts of points
When the timeshare industry began,
the developers sold fi xed weeks and
fl oating weeks, which RPMI later re-
sold. The greatest advancement for the
timeshare industry was changing to the
points system. It provides remarkable
fl exibility and enhances every owner’s
vacation experiences.
At RPMI, points generated multiple
purchases. I equate the differences as
similar to upgrading from the old land-
line telephones to the remarkable cell
phones of today. Although we still resell
fi xed and fl oating weeks on occasion,
such sales are increasingly rare.
About the author
Jeff Fudge is president of Resort
Property Marketing International Real
Estate in Quitman, AR.
The fi rm specializes in timeshare
resales at resorts bearing the Wynd-
ham Vacation Resorts and WorldMark
by Wyndham brands, and is the only
company that has successfully done this
Jeff Fudge.
since 1991. RPMI occasionally handles
a few other brands, if they meet Wynd-
ham’s quality standards.
RPMI provides a full-service real-
estate transaction, from a listing sale
contract through a purchase offer and
acceptance, an escrow service, and a
verifi cation of the status of property be-
ing sold.
In addition, it offers title-company
services such as deed preparation, court-
house recording, and coordination with
Wyndham on the transfers to release
funds to the seller. It communicates with
the seller, the buyer, the title company,
and Wyndham for a seamless closing.
All of RPMI’s timeshare sales are
cash, but the fi rm is equipped to provide
fi nancing.
Contact information:
Tollfree
phone [phone], email jeff@
rpmirealty.com, website www.resort-
property.com/.
RPMI is a charter member of the
Licensed Timeshare Resale Brokers
Association, which was established in
2010 to help protect timeshare consum-
ers. Fudge is a past member of the LTR-
BA board of directors.
The LTRBA now consists of 52
members from resale companies that
don’t require upfront fees, including
Fudge, Angel England, and Rick Jones of
RPMI. All LTRBA members are vetted
before being accepted for membership.
You may locate them at LTRBA.com.
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